Bear Put Spread (ETFs)
A Bear Put spread is a debit spread created by purchasing a Put with a higher strike price and selling a Put with a lower strike price. Both options expire in the same month. This is a bearish strategy and should be implemented when you expect the market to close below the strike price of the short Put option—the point of maximum reward (at expiration).
SPY $120.08
Buy to Open (1) Sep 11 125 P @ $7.50
Sell to Open (1) Sep 11 120 P @ $4.54
Net Debit: $2.96 ($296.00)
Breakeven: $122.04
Max. Profit: $204.00
Pct Return: 68.9% (41 days)
IWM $71.33
Buy to Open (1) Sep 11 76 P @ $5.92
Sell to Open (1) Sep 11 71 P @ $3.17
Net Debit: $2.75 ($275.00)
Breakeven: $73.25
Max. Profit: $225.00
Pct Return: 81.2% (41 days)
XLE $68.07
Buy to Open (1) Sep 11 72 P @ $5.90
Sell to Open (1) Sep 11 67 P @ $2.80
Net Debit: $3.10 ($310.00)
Breakeven: $68.90
Max. Profit: $190.00
Pct Return: 61.3% (41 days)
EWZ $62.83
Buy to Open (1) Sep 11 68 P @ $6.15
Sell to Open (1) Sep 11 63 P @ $3.20
Net Debit: $2.95 ($295.00)
Breakeven: $65.05
Max. Profit: $205.00
Pct Return: 69.5% (41 days)
GDX $55.42
Buy to Open (1) Sep 11 59 P @ $5.10
Sell to Open (1) Sep 11 54 P @ $2.20
Net Debit: $2.90 ($290.00)
Breakeven: $56.10
Max. Profit: $210.00
Pct Return: 72.4% (41 days)
All positions displayed are for educational purposes only and are not intended to be recommendations.
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